Bord Gáis Energy said earnings rose slightly in the first half of the year despite ongoing challenges in the energy market.
The company, which is owned by UK group Centrica, said earnings before interest, tax, depreciation and amortisation were €50 million in the first six months of the year, up from €49 million in the same period a year earlier.
The Irish business said it continued invest “at scale” with about 1GW of energy generation in operation and development, and progress made on commissioning key assets in Athlone and Dublin later this year. A third in east Galway is in planning.
The group also opened a new control centre in Athlone earlier this year to oversee European assets such as flexible thermal power generation, battery energy storage and solar.
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Its solar unit, which includes the now-integrated Swyft Energy business, carried out about 1,000 installations, a rise of 21 per cent year on year, as demand for solar power continued. Almost 900 installs were for residential customers.
“Our mid-year performance reflects a stable and disciplined business, delivering in line with expectations while continuing to invest in the infrastructure and capabilities required for Ireland’s energy future,” said Dave Kirwan, chairman of Bord Gáis Energy and managing director of Centrica Power.
“As we mark our 50th year in Ireland, we are well positioned to deliver sustainable growth while supporting Ireland’s energy transition.”
Parent company Centrica announced on Thursday that it would cut about 1,300 jobs in a cost efficiency drive, after reporting first-half profit dropped 18 per cent as asset sales, outages and unfavourable weather squeezed margins.
The job cuts, some of which have already been completed, include a proposed reduction of about 500 contact-based staff in customer operations and fewer outsourced offshore positions. The cuts are not expected to impact Bord Gáis Energy.
Warmer-than-normal weather and challenging conditions, including volatile energy markets due to the Iran war, have weighed on Centrica’s margins, even as it pushed ahead with the sale of non-core assets and concentrated on LNG-related infrastructure.
“Volatility across energy markets has created challenges in some parts of our business, and some of our delivery has been slower than we would like,” said chief executive Chris O’Shea.
Centrica’s adjusted core profit dropped to £737 million for the six months to June 30th, mainly due to the impact of Spirit Energy asset disposals and production outages, with the warm weather and weak market conditions pressuring margins. - Additional reporting: Reuters
